The following slide describes Promotion Mix of Marketing Mix which is the Market Promotion consisting of Promotion strategy and its elements such as Personal selling, Sale promotion, Advertising, Publicity, Public relations, etc and it's meaning, merits and demerits. course - Agricultural Marketing, Trade and Prices of Agricultural Economics Department
1. JNKVV
College of Agriculture
Tikamgarh (M.P)
Agricultural Marketing, Trade
and Prices 3(2+1)
Assignment
On
Market Promotion
Submitted To –
Dr. Anil Mishra
Submitted By –
Vivaswan Anmol
Er. No. -180301131
2. Acknowledgement
I wish to express my deep gratitude and sincere
thanks to the Dean of our college Dr. A. K. Sarawgi
sir for his encouragement and provided facilities
for this College Assignment. I sincerely appreciate
his generosity by taking me into his fold for which
I shall remain indebted to him. I extend my
appreciation with a deep sense of gratitude to Dr.
Anil Mishra sir, our Course Preceptor for his
invaluable guidance, ongoing encouragement and
enormous motivation, which has sustained my
efforts during the Assignment.
I can’t forget to offer my sincere thanks to my
seniors and batchmates who helped me to carry
out this project successfully and for their valuable
advice and support which I have received all the
time.
Date Vivaswan Anmol
The 19th
of April 2020 B.Sc.(Hons.) Ag. 2nd
Year
4. Market Promotion
Market promotion includes a variety of communication
activities to educate customers, increase awareness,
increase demand, build brand value and recognition
and provide differentiation.
Elements of Market Promotion
Basically, there are 5 elements of Market
Promotion.
1. Personal Selling
2. Advertising
3. Sales Promotion
4.Public Relations (which results publicity)
5. Direct Marketing
5. Personal Selling
Personal selling happens when companies and
business firms send out their salesmen to use the sale
force and sell the products and services by meeting the
consumer face – to – face. Here, the producers
promote their products, the attitude of the
product, appearance and specialist product knowledge
with the help of their agents. They aim to inform and
encourage the customer to buy, or at least trial the
product.
For example, salesmen go to different societies to sell
the products. Another example is found in department
stores on the perfume and cosmetic counters. A
customer can get advice on how to apply the product
and can try different products. Products with relatively
6. high prices, or with complex features, are often sold
using personal selling. Great examples include cars,
office equipment (e.g. photocopiers) and many
products that are sold by businesses to other industrial
customers.
Merits
• It is a two-way communication. So the selling
agent can get instant feedback from the
prospective buyer. If it is not according to plan he
can even adjust his approach accordingly.
• Since it is an interactive form of selling, it helps
build trust with the customer. When you are
selling high-value products like cars, it is important
that the customer trusts not only the product but
the seller also. This is possible in personal selling.
Demerits
• It is a relatively expensive method of selling. High
capital costs are required.
• Also, it is an extremely labour intensive method. A
large sales force is required to carry out personal
selling successfully.
• The training of the salesperson is also a very time
consuming and costly.
• And the method can only reach a limited number
of people. Unlike TV or Radio ads it does not cover
s huge demographic.
7. Advertising
Advertising means to advertise a product, service or a
company with the help of television, radio or social
media. It helps in spreading awareness about the
company, product or service. Advertising is
communicated through various mass
media, including traditional media such as newspapers,
magazines, television, radio, outdoor
advertising or direct mail; and new media such
as search results, blogs, social media, websites or text
messages.
8. Merits
1. Mass Reach
Advertising is a communication medium which
can reach a wide range of people over a broad
geological region. For example- advertising via a
daily newspaper reaches millions of people all over
the country.
2. Boosting customer contentment and confidence
It creates a sense of assurance amidst potential
customers as they are contented and comforted
about the quality of the product and thus feels
more relaxed.
3. Expressiveness
As because of the progress of graphic designing,
art and computer skills, advertisement has
changed into one of the most aggressive weapon
of communication. A simple product can looks
attractive with all the special effects and modern
computer skills.
4. Economy
Advertising by far is the most economic medium
of communication for creating mass awareness. As
a result of it wide reach, the total advertising cost
9. gets stretched over several communication links
recognized. This ultimately lowers per unit cost for
advertising.
Demerits
1. Less Forceful
Being an impersonal medium of communication, it is
less forceful when compared to personal selling.
Advertising is a common message and you are not
compelled to pay attention to the message conveyed.
2. Lack of feedback
It is not possible to study the efficiency of advertising
message as it is not possible to gather immediate and
precise feedback of the message communicated.
3. Inflexibility
Advertising is not very flexible because of non-
standardization and is not custom made to meet the
necessities of the various groups of customers.
4. Low effectiveness
Because of the growth in volume of advertising is
becoming impossible to make advertising message
heard by the prospective group of consumers. This
ultimately influences the efficiency of advertising.
10. Sales Promotion
Sales promotion is one of the elements of
the promotional mix. It uses both media and non-
media marketing communications for a pre-
determined, limited time to increase consumer
demand, stimulate market demand or improve product
availability.
Examples
Include contests, coupons, freebies, loss leaders, the
point of purchase displays, premiums, prizes, product
samples, and rebates.
11. Merits
1. Attention Value
Use of incentives helps in attracting a large number of
buyers.
2. Useful in New Product Launch
The tools of sales promotion like discount, free gift
offer etc. are very useful in launching new products. It
convinces them to use new products in place of the
products which they may have been using regularly.
3. Synergy in Total Promotional efforts
Sales promotion tools add to the overall effectiveness
of the efforts made under personal selling and
advertisement.
Demerits
1. Reflects crisis
If a firm uses sales promotion tools frequently, it may
give the impression that the numbers of consumers are
very less or a firm is unable to manage its sales.
2. Spoils Product Image – The customer may develop
an impression that “products sold through sales
promotion are overpriced & of poor quality etc.”.
12. Publicity
Publicity is the result of public relations (one of the
elements of market promotion). The word publicity is
derived from the French word “publicité”. It is the
movement of information to the general public from
the media. The subjects of publicity include people (for
example, politicians and performing artists), goods and
services, organizations, and works of art or
entertainment.
13. Publicity is gaining public visibility or awareness for a
product, service or your company via the media. It is
the publicist that carries out publicity, while PR is
the strategic management function that helps an
organization to communicate, establishing and
maintaining communication with the public. This can
be done internally, without the use of media.
Some examples of promotional tactics are Announce
an appointment, Arrange a speech or talk, Arrange for
a testimonial, Art people, Conduct a poll or survey,
Event sponsorship, Invent then present an award, Issue
a commendation, Issue a report, Make an analysis or
prediction, Organize a tour of your business or
projects, Stage a debate and Take a stand on a
controversial subject.
Merits
1. The cost of publicity is very less. Publicity coming
from an unsolicited newspaper or through social media
doesn’t cost anything to the company.
2. Publicity ensures credibility as the consumers expect
a significant level of bias or exaggeration in the
advertisements a company produces about its services
or products. However, third-party sources, such as
blogs, online reviews and magazines are often
considered less biased. This is specifically true with
trusted sources, such as longstanding publication
14. houses or well-regarded professional reviewers.
Publicity from non-affiliated parties can often seem
more trustworthy in the eyes of your targeted
customers.
3. Consistent publicity helps a company strengthen its
brand as it gives a company a way to prove its
customers its worth.
4. Innovation is very important in increasing your reach
and building loyalty among the customers. If good
reviews start coming up for a brand it often build the
other public relations companies interested in the
company.
5. Publicity open doors for more opportunities and
help build relationships with more number of high net
worth companies.
Demerits
1. Damage brand equity in long term because of bad
publicity. It is applicable for companies with health
hazards and safety issues.
2. Brand association will be damaged as changing the
customer’s perception is very difficult.
3. Loss of trust
15. Bibliography
Books
1. Agricultural Marketing, Trade and Prices
Author – TNAU
2. Theory Manual of Agricultural Marketing, Trade
and Prices
Author – Dr. Anil Mishra (JNKVV COA, Tikamgarh)
3.Agricultural Marketing and Cooperation
Author – L.K. Wader (ICAR)
Websites
1.Google – www.google.com
2.Wikipedia – www.wikipedia.com
3. Slideshare – www.slideshare.net
4.ED – www.economicsdiscussion.net
5.Mbaskool – www.mbaskool.com
Thank You